In order to effectively plan for the upcoming tax year, it’s essential that you start the year off by getting organized.
Create a calendar.
Utilize this standard office tool to detail all of your financial incomings and outgoings:
• When your salary goes into your account.
• When your mortgage needs to be paid.
• When your credit cards/bill need to be paid.
• Renewal and payment dates for insurance.
Put these and any other possible expenses down in writing early on so you avoid the chance of accidentally skipping over them, putting your business in the position to be subject to late fees.
Set aside a group of marked folders for printouts and records that detail all of your financial incomings and outgoings throughout the year . . . but purposely leave them empty at the start of the year. In setting up these empty folders, you’re giving yourself an additional reminder in your home or office that they need to be filled up throughout the year. Some examples would be folders for credits your business receives, receipts from equipment purchases made throughout the year, pay stubs, and so on. It’s a worthwhile habit to get into and leaves very little to chance.
Set up reminders.
No matter how much detail you put on a calendar nor how many folders you organize, there’s still the chance that an important date might slip your mind. Set up reminders in your mobile phone, online/email, or strategically placed post-it notes throughout the home/office. Doing this provides added insurance that you will not forget a bill or renewal date.
Life throws a lot of curve balls – don’t leave your financial well-being to chance.